Does a trustee have to abide by a provision in a trust stating you want to remain in your home until death?
Typically, you are the Settlor or creator of your own trust. During your lifetime, and while you have capacity, you will also be the trustee of your trust. Should you ever become incapacitated, a Successor Trustee or prior Co-Trustee who will become sole-acting Trustee will step up and begin to manage the trust on your behalf.
Trustees owe fiduciary duties to the beneficiaries. During your lifetime, you are also the beneficial owner of trust assets. Therefore, the trustee will owe their fiduciary duties to you. Part of a trustee’s role is to follow the terms of the trust. If you include a provision in your trust to the effect of your desire to remain in your home until death, a trustee will have to do their best to follow through with that provision. Most often, this will be a considerable cost as there may be mortgage payments, utilities, maintenance, property taxes, HOA fees, etc. to be paid on or in relation to the real property. When you set up and fund your trust, you will want to ensure that your trust has access to sufficient cash in order to allow the trustee to cover expenses related to your residence in an effort to allow you to stay at home as long as possible. This will be an important topic of conversation with your planning attorney to ensure you properly fund your trust!
Ultimately, a trustee is responsible to you, as a beneficiary. Contact our offices to schedule a consultation with one of our planning attorneys to ensure that your wishes to remain in your home are included in your estate plan. Contact Tresp Law, APC today to consult about any estate planning concerns you may have, including ensuring that you can stay in your home as long as you would like. Call us any time at 858-248-2779 for a free consultation.
